Consider buying AUDUSD amid higher investor appetite and weaker dollar

The AUDUSD currency pair is trying to find its feet following a prolonged downward movement. Furthermore, bearish sentiment is slowly draining out near a key dynamic support. Although a red candle formed during today’s trading session, its narrow range suggests that sellers are losing their grip on the market compared to the previous frenzy.

Technical indicators confirm the overall picture. The Stochastic Oscillator has turned up from the lower part of neutral territory, with %K at 31 and %D at 29—a clear sign of fledgling upward momentum and an exhausted downtrend. The Chaikin Oscillator tells the same story, supporting cautious market optimism. The indicator remains in the positive zone and keeps climbing, signaling ongoing capital inflows and buyer dominance. The oscillator’s steady rise during recent sessions suggests that major players have been accumulating long positions near current levels.

Price dynamics relative to volatility boundaries are another important factor. Trading near the lower Bollinger Band at 0.64346 creates technical prerequisites for a rebound, as this level is like a honey pot for buyers, potentially drawing the price toward the middle band.

Fundamental factors align with the current technical picture. Increased expectations of a December rate cut by the Federal Reserve (Fed) are now weighing on the dollar. Some policymakers have already expressed their dovish opinions on the matter. Meanwhile, the Australian dollar gains support from the country’s monetary policy uncertainty. A recent rise in business inflation expectations and announcements hinting at potential rate hikes in 2026 bolster the Aussie.

Take a look at the following trading plan:

Buy AUDUSD during a rebound from current levels but be cautious. Place Take profit 1 at 0.64970, Take profit 2 at 0.65420, and Stop loss at 0.64100.

The forecast is valid between November 25 and December 2, 2025.